The trend seen in the online gambling market in Europe over the past few years is that of increased fragmentation. A meeting of MEPs held recently, pointed out the fact that lawmakers are more in favor of developing a national regulation than one for entire Europe. This development is not good news for certain groups of online gambling operators who claim that a market which allows the movement of products and services in a free manner is needed in Europe. If the current environment prevails, operators can successfully deliver the most competitive goods in the market to their clients.

ECJ Publishes its Opinion

A new opinion related to this matter has been published by ECJ (the European Court of Justice) on 27th Feb. Advocate General Cruz Villalon, stated his opinion, which relieved gambling operators supporting the development of a pan European regulation. Villalon's opinion is with regard to Stanleybet's interference in Italy's gambling market. Stanleybet, an operator of a British gambling site, claimed that the procedure to provide licenses followed in Italy, favor the group of operators who received licenses in a situation when others of their kind were pushed out of the industry in an unlawful manner.

Advocate General Cruz Villalon said that it is unjustified on the part of the national legislation, to restrict the freedom of offering products and services of some casinos to protect those who were offered licenses earlier. This kind of action is not in line with the Treaty's provisions. The advocate added that the legislation, which restricts gambling activities across borders, disregards the provisions of TFEU articles, 49 and 56 which make it compulsory to deliver products and services across nations in an equated manner.

In case a legislation restricting the freedom of offering products and services pertaining to online gambling among European nations is passed, it should be proportional and not a discriminatory one.

Advocate's Opinion Supported by EGBA

EGBA (European Gaming and Betting Association) is a body which represents the top online gambling regulators of the European nations offering online roulette and other online gambling products. The body immediately reacted to the opinion of Advocate General Cruz Villalon positively. ECJ's Regulatory Affairs' director, Maarten Haijer supported Villalon's opinion which confirmed the fact that the member states of Europe need to design a legislation of online gambling that is in line with the key tenets of the Treaty.

Haijer stated that the foundation of the Internal Market rests on the fact that a licensed gambling operator of Europe is able to operate across nations. They should also be able to access the markets of other member states lawfully. Haijer added that the pace of national regulations has been increasing. This has made the operators of the online gambling industry reluctant to invoke the European Gaming and Betting Association for various issues. It is high time that law makers understand the need of formulating a uniform licensing regulation within Europe. It will harmonize the licensing standards within the continent.